NEW DELHI: In case of a top Chinese consumer electronics company shifting production to India to part-meet its global requirements, the $29 billion Hisense has entered into a strategic alliance with local contract manufacturer Epack Durable to produce ACs and home appliances, such as washing machines, refrigerators and other small domestic appliances.
“The products manufactured at Epack’s facilities will not only serve the Indian market but Hisense will also explore opportunities to export these products to key international strategic markets,” the domestic company said, adding that over Rs 8,000 crore of business is expected over the next five years.
The deal will see Epack set up a dedicated manufacturing facility. “We will invest in a new manufacturing facility at Sricity in Andhra Pradesh with a capacity of one million room ACs by FY28, and a target to begin production from June next year,” Ajay DD Singhania, MD & CEO of the domestic manufacturer said.
Steven Li, MD of Hisense in India said the partnership will help the company broaden its manufacturing set-up in the country.